Registered Education Savings Plan (RESP)


The best way to save for your children’s education is to open a Registered Education Savings Plan (RESP).

To receive the Canada Education Savings Grant (CESG), a Registered Education Savings Plan (RESP) must be opened for your child. (Anyone can put money into an RESP for any child; you do not have to be the child’s parent.)

The basic CESG provides 20 cents on every dollar you contribute, up to a maximum of $500 on an annual contribution of $2,500. If you cannot make a contribution in any given year, you may be able to catch up in future years. As of 1998, grant room (unused basic CESG amounts) accumulates until the end of the year in which the child turns 17 even if he or she is not a beneficiary of an RESP. Unused basic CESG amounts for the current year are carried forward for possible use in future years, provided the beneficiary remains eligible.

This grant is available up until the end of the calendar year in which the child turns 17.

Depending on the child’s primary caregiver’s net family income, he or she may also be eligible to receive the Additional Canada Education Savings Grant (A-CESG). This grant adds an additional 10 % or 20 % to the first $500 put into the RESP each year.

If you have young children we encourage you to come in and talk to us today.